Commercial questions that affect the numbers.

A price list does not show what the customer finally pays. Discounts, rebates and contract terms can change the revenue from an account. We examine those terms alongside the cost of supplying it, then consider how a change in price or volume would affect contribution.

A review can distinguish the rates in the contract from realised prices and identify the assumptions that need testing before a revised pricing proposal is approved.

Reported revenue can obscure the resources required to serve a product, customer or channel. We compare contribution and capital requirements across the activities being considered, using a consistent period and scope.

The purpose is to make the alternatives comparable, including any costs that remain if an activity is reduced or sold.

A proposal to enter a market or expand capacity has costs before revenue is earned. We review the assumptions about timing, demand, working capital and the resources needed to operate at the proposed scale.

A downside case can show how the funding requirement changes when sales arrive later or the cost of delivery differs from the original estimate.

The value attributed to an acquisition depends on what the buyer expects the business to earn and what integration will require. We examine the commercial assumptions, the proposed operating changes and the timing of their costs.

Legal diligence, tax, audit and regulated financial advice remain with the specialists appointed for those matters.